Q8) Which of the following statements is not correct regarding business income?

1) A profit made from an organized gambling business can be taxable.

2) An amount won in a lottery is taxable.

3) A profit made from an illegal business can be taxable.

4) A profit made from private betting for mere pleasure is generally not taxable.

Q9) Hank operates a small consulting business from his home. The office in his home is his principal place of business. Which of the following correctly describes the home office expenses that can be deducted for tax purposes?

1) He does not qualify for home office deductions.

2) He can only deduct property taxes, utilities, and repairs.

3) He can only deduct property taxes and utilities.

4) He can deduct mortgage interest, property taxes, utilities, insurance, and repairs.

Q10) In the case of items of remuneration, to be deductible, the Act requires that salaries, wages, or other remuneration must be paid within how many days of the end of the taxation year in which the expense was incurred?

1) 365

2) 182

3) 91

4) 179